Michigan Joins the Bitcoin Race: Lawmakers Push for State-Owned Crypto Holdings
Michigan is the latest state to join the race to create a strategic Bitcoin reserve. In order to create a strategic Bitcoin reserve, Representatives Ron Robinson and Bryan Posthumus presented HB 4087 on February 13 to modify the state’s Management and Budget Act. With this action, Michigan becomes the twentieth US state to have legislation pending a vote on state cryptocurrency investments.
Michigan can and should join Texas in leading on crypto policy by signing into law my bill creating the Michigan Crypto Strategic Reserve,
Michigan Could Become a Crypto Powerhouse with New Investment Bill
Under the Michigan measure, the state treasurer would be permitted to make up to 10% of cryptocurrency investments from both the general fund and the economic stability fund. The bill does not include restrictions or criteria on the types of cryptocurrencies that can be purchased for the reserve.
In addition, the measure contains a clause allowing the state treasurer to lend cryptocurrencies to the state in order to generate additional revenue if doing so would not put the state at greater financial risk. Through exchange-traded products from registered investment firms or safe custody solutions, the state must directly hold cryptocurrency.
Bitcoin ETFs Already in Michigan’s Pension System: Now the State Wants More!
Exchange-traded funds for Bitcoin and Ether are already included in the state pension system for Michigan. Posthumus also proposed the idea of MichCoin in an X post on February 13. He claimed that it was a stablecoin that should be created by the state of Michigan and that it would have actual worth linked to their holdings of gold and silver.
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